Tesla posted record production and delivery figures at the end of 2020 and the automaker is predicted to continue moving on the growth path in the years to come. Analysts said the EV maker will remain the market leader in the new decade and the company's Gigafactories in Austin and Berlin are deemed to play an important role.
Tesla narrowly missed the half-million delivery target set by CEO Elon Musk for 2020 but the data showed the overall numbers are favorable to the company. Total production last year jumped by nearly 40% and considering the manufacturing problems caused the COVID-19 pandemic, Tesla's performance was nothing short of impressive.
Musk is gunning to deliver one million EVs this year and analysts are saying that the company is in a strong position to hit the mark. According to JP Morgan, Tesla is benefitting from an "underlying momentum" and there are no signs of an imminent slowdown.
By 2025, EV sales will shoot up by 10% from the current level and Tesla will continue to flourish being ahead of the pack. Per Business Insider, Wedbush said the demand for electrified vehicles will soar and Tesla is deemed capable to deliver.
The key to Tesla's success is the Gigafactories that are programmed to start massive production activities this 2021. The Giga Austin in Texas is slated to open in the first half of the year while the Giga Berlin in Germany will begin assembling EVs in July.
In China, the Giga Shanghai facility already started manufacturing the Model 3 and Model Y and the factory complex is slated to accelerate production this year. These Gigafactories will allow Tesla to meet the demands from markets around the world and consequently, the U.S.-based automaker will continue to dominate the market.
The competition is expected to further heat up as new and big players attempt to make their mark in the burgeoning EV industry but Tesla's advantage will prove to be a potent weapon. Gene Munster of Loup Ventures said the automaker made it easy to ramp up production and credit goes to the manufacturing wonder that the Gigafactory is.
Munster said the Tesla starts firing up the factories in Berlin, Texas, and Shanghai in all cylinders, the automaker's monster capabilities will be revealed to the world. He claimed that in 2021, the company will see a delivery growth of nearly 40%.
To put Tesla's manufacturing might to perspective, the automaker can deliver four-times faster than the competition, the analyst added.
Tesla will likely deal with manufacturing issues in 2021 but according to Munster: "It does not change our view that Tesla is best-positioned to have leading EV global market share over the next decade," per the report by Teslarati.
This forecast is supported by the accelerated pace of Giga Austin's ongoing construction that the facility is expected to run in full-capacity ahead of schedule. Also, Giga Berlin will be getting its final permit in February, which should pave the way for Tesla to start on its big production push in Europe.
